Discover trends and revenue potential in distributing and wholesaling of medicines

Where's the drug wholesaling and distribution market heading? Visiongain's updated report predicts revenues there from 2013 to 2023. It also explains trends in business and technology, prospects, and opportunities to help your work.

In that study you gain sales forecasts at overall world market, submarket, company, and national level. Find what's happening. Also discover what has most growth potential.

Read on to explore the drug distribution industry and see what its future market could be worth.

Forecasts and other information to benefit your knowledge

Is finding data a challenge? Avoid falling behind for supply of medicines. You can now stay ahead in information, benefiting your research, analyses, and decisions. Also save time.

Besides revenue forecasting, our new work shows historical data, growth rates, and market shares. You discover original quantitative and qualitative analysis, seeing business outlooks and developments. You also gain 68 tables, 95 charts, and three research interviews.

There you investigate the future of the supply chain for human medicines. You find what's happening and see where the money lies. Finding data you need has just got easier.

Anyhow, the following sections show what you get in our investigation and analysis.

See prospects for the world market and submarkets

Our new report shows revenue to 2023 for the overall world market. It also shows you individual forecasts for three submarkets:

Original branded drugs

Generic drugs

Other products.

How will the pharmaceutical wholesale and distribution (W&D) market grow? Which parts will most prosper? There you assess potential for sales and revenue growth.

Also our study discusses what stimulates and restrains business for distributing drugs. That analysis helps you identify potential and find ways for your business to grow.

In developed and developing countries, opportunities for drug wholesalers and other medical suppliers will occur from 2013. Pharmacies also stand to benefit. See how.

Our report shows you individual revenue forecasts to 2023 for 11 national markets:

US

Japan

Germany, France, UK, Italy, and Spain (EU5)

Brazil, Russia, India, and China (BRIC).

There you discover progress and outlooks. You assess the W&D industry's future - hear about developments and find their significance. Our work explains.

That analysis shows highest revenue growth to 2023 will occur in developing countries. Developed markets will expand too. You investigate, also finding the potential of companies.

Find revenue forecasts and other information for leading firms

How will leading companies perform to 2023 at world level? Our work shows you individual revenue forecasts for 11 top wholesalers and distributors, including these:

McKesson

Cardinal Health

AmerisourceBergen

Alliance Boots

PHOENIX

Medipal

Sinopharm

Suzuken.

There you assess those organisations, seeing activities, results, and outlooks. You discover what's happening, understanding trends, competition, challenges, and opportunities.

That way you assess the future, hearing about progress and finding its significance. Our study explains, exploring many issues.

What affects the supply of pharmaceuticals through distribution networks?

Our report discusses issues and events affecting that industry and market from 2013, including these:

Roles of pharmaceutical wholesalers

Revenues, costs, and profits

Use of new technologies

Direct-to-pharmacy (DTP) activities

Pharmacy benefit managers

Forward buying and fee-for-service

Discounts, clawbacks, and parallel trade.

The work also discusses other aspects of the industry, including these:

Chain pharmacies and vertical integration

State-funded healthcare and reimbursement

Pre-wholesaling and pre-financing

Rise of specialty medicines, including biologics, and generic drugs (generics)

Actions against pharmaceutical counterfeiting

Budget cuts in healthcare

Changes to regulations

Globalisation and consolidation of the industry.

That way, you explore technological, economic, social, and political (STEP) questions, assessing outlooks for the business. You also analyse that industry's strengths, weaknesses, opportunities, and threats (SWOT).

See, then, what the future holds.

What's the 2017 market value?

Our study predicts the world market for drug wholesaling and distribution will reach $966bn in 2017, and expand further to 2023. See how high turnover can go, and find what influences revenues and profits.

Also, some medical wholesalers and distributers are expanding into retail pharmacy, and even into drug production. W&D evolves - you see how and assess its future.

Discover now revenues and opportunities for the W&D industry - established and rising companies. That market holds potential from 2013 for investment, development, and sales growth. Our new report shows you the possibilities.

Interviews with authorities - discover debates and opinions to help you stay ahead

Competition and opportunities - see what affects the W&D industry, learning what shapes its future, esp. prospects for sustaining and developing business

Analysis of what stimulates and restrains that industry and market - assess challenges and strengths, helping you compete and get advantages.

You gain information found nowhere else

That work gives independent analysis. You receive business intelligence found only in our report, seeing where prospects are most rewarding.

With our study you are less likely to fall behind in knowledge or miss opportunity. See how you could benefit your research, analyses, and decisions, also saving time and getting you recognition for insight.

Our analysis costs only a tiny fraction of potential profits from your understanding and harnessing the pharma W&D market. See its growth potential and find what you can gain.

Ordering now lets you discover predictions and opportunities for drug supply

Our new study is for everyone analysing the industry and market for supplying medicines. There you find data, trends, opportunities, and growth predictions. Avoid missing out - please order our report now.

1. EXECUTIVE SUMMARY

1.1 Overview of the Study1.2 Chapter Breakdown1.3 Research and Analysis Methods

6. QUALITATIVE ANALYSIS OF THE PHARMA WHOLESALE AND DISTRIBUTION MARKET

6.1 Strengths and Weaknesses of the Pharma Wholesale and Distribution Market, 2013 6.1.1 The Insatiable Demand for Drugs: A Recession-Proof Industry? 6.1.2 Wholesalers Do More than Deliver Drugs 6.1.2.1 Pre-Wholesaling: More Prevalent in Europe 6.1.2.2 Through Pre-Financing, Full-Line Wholesalers Finance the Entire Medicines Market 6.1.3 Large Companies Dominate the Market 6.1.4 Despite High Revenues, Profit Margins Are Low 6.1.5 Government-Induced Drug Price Pressures Restrict Profits 6.1.6 The Problem of Counterfeit Drugs 6.1.6.1 The Adoption of Anti-Counterfeiting Measures6.2 The Opportunities and Threats Facing the Pharma Wholesale and Distribution Market, 2013-2023 6.2.1 The Demand for Pharmaceuticals is Increasing 6.2.2 The Increasing Use of Speciality Drugs Will Drive Growth 6.2.3 The Increasing Use of Generic Drugs Will Restrict Revenue, But Drive Profit Generation 6.2.4 The Promotion of Drug Therapy in the US 6.2.5 Globalisation: The Major National Markets are Dominated by Few Companies 6.2.6 Increased Adoption of the DTP Distribution Model 6.2.6.1 DTP in Europe: The First Place the Scheme Has Taken Hold 6.2.6.2 DTP in the UK Since 1991 6.2.6.3 DTP in Poland: The Second European Country to Adopt the DTP Model 6.2.6.4 Further Expansion of the DTP Model 6.2.7 The Threat of Healthcare Budget Cuts 6.2.7.1 Healthcare Budget Cuts in Germany 6.2.7.2 Healthcare Budget Cuts in France 6.2.7.3 Healthcare Budget Cuts in Italy 6.2.7.4 Healthcare Budget Cuts in Spain 6.2.7.5 Healthcare Budget Cuts in the UK 6.2.8 Do Large Chain Pharmacies Pose a Threat? 6.2.8.1 Case Study: Walmart and the $4 Prescription Scheme 6.2.8.2 Vertical Integration of Wholesalers: A Response to the Threat of Chain Pharmacies 6.2.9 Does the Diversion and Re-importation of Medicines Pose a Threat to the Industry? 6.2.10 The Threat of Industry Consolidation6.3 Social, Technological, Economical and Political Factors Influencing the Market, 2013-2023 (STEP Analysis) 6.3.1 Political Factor: The Impact of Recent Regulatory Changes in the EU 6.3.2 Political Factor: Combating Counterfeit Medicines 6.3.2.1 The US and E-Pedigree: Becoming Law in California 6.3.2.2 European Pedigree Legislation 6.3.2.3 Anti-Counterfeiting Strategies in Other Markets: The Chinese Government Is Attempting to Address the Challenge 6.3.2.4 Serialisation for Wholesalers: Opportunity or a Challenge?

7. RESEARCH INTERVIEWS

7.1 Interview with Dr Evelyn Walter, Co-Founder and Director of the Institute for Pharmaeconomic Research (IPF), Vienna 7.1.1 On Direct-to-Pharmacy Distribution 7.1.2 On the Effect of Drug Pricing Pressures on the Supply of Pharmaceuticals 7.1.3 On the Role of Pharmaceutical Wholesalers and Distributors in European Healthcare Systems 7.1.4 On the Impact of Counterfeit Drugs 7.1.5 On the Efficacy of the Pharmaceutical W&D Industry7.2 Interview with Monika Derecque-Pois, Director General, European Association of Pharmaceutical Full-line Wholesalers (GIRP) 7.2.1 On Key Unmet Needs in the Industry 7.2.2 On the Impact of Recent Regulatory Changes 7.2.3 On the Value-Added Services Offered by Pharmaceutical Wholesalers 7.2.4 On the Use of Novel Technologies7.3 Interview with Geoff Mellor and Martin Sawer, British Association of Pharmaceutical Wholesalers (BAPW) 7.3.1 On the Impact of Recent Regulatory Changes 7.3.2 On the Impact of New Technologies 7.3.3 Fast-Growing Sectors?

8. CONCLUSIONS FROM THE STUDY

8.1 The Future of the Pharma Wholesale and Distribution Market8.2 The Leading National Pharma Wholesale and Distribution Markets8.3 Leading Companies in the Industry8.4 Trends in the Industry and Market 8.4.1 Generics Will Threaten Revenues 8.4.2 Manufacturers Will Deliver More Drugs Directly 8.4.3 There Will Be Greater Demand for Specialty Medicines 8.4.4 Consolidation Will Drive Growth 8.4.5 Anti-Counterfeiting Demands Will Add to Wholesalers' Costs

Other pharmaceutical manufacturers have made several attempts to reduce parallel trade in the EU. Reportedly, Sandoz has reportedly stated “export prohibited” on invoices. Many manufacturers are also resorting to direct-to-pharmacy (DTP) distribution in other European countries in order to control the supply of drugs; quotas systems are introduced in order to ensure that wholesalers supplies can meet domestic demand, but a surplus is avoided. The European Court of Justice ruled that this practice is legal, but that quotas have to be introduced unilaterally. This means that pharmaceutical manufacturers cannot negotiate directly with pharmacies to agree quotas; specialist independent audit teams are required to fairly regulate quotas.

In 2008, the Spanish government introduced new margins that wholesalers could charge. Under these rules, for drugs valued at less than or equal to €91.63 wholesalers are able to apply a margin of 7.6%. For drugs worth over €91.63 a fixed margin of €7.54 can be added. In 2010, drug price cuts were announced by the government, cutting the price of branded products by 7.5% and generics by 25%. In 2012, the wholesale and distribution of pharmaceutical products in Spain generated revenue of $16.91bn, accounting for 2.27% of the global market.

Market Forecast, 2013-2023

The wholesaler cooperatives in Spain are non-profit making organisations; their apparent purpose is to serve the pharmacies. This allows them to be competitive in pricing, forcing commercial wholesalers to cut their margins to compete. This is likely to restrain market growth during the forecast period. However, the control these cooperatives hold over the distribution market means that it will be difficult for manufacturers to introduce a DTP system; the pharmacies like dealing with the wholesalers. It is likely that more restricted wholesale will be introduced, as manufacturers seek to reduce the risk of parallel trade. This will benefit the largest wholesalers and should help keep growth in the market steady, visiongain believes.

The Spanish wholesale market differs from that in France, Germany and the UK in that there are many more large wholesalers competing. However, as more restricted wholesale is introduced, there will be cooperative mergers, similar to that of Cofares and Hefame, leaving just a few to dominate the market by the end of the forecast period, visiongain predicts. Between 2013 and 2018, the Spanish pharmaceutical W&D market will expand at a CAGR of 3.9%. During the latter half of the forecast period, this rate of growth will slow; between 2018 and 2023 the market will expand at a CAGR of 3%. In 2023, the market will generate $24.66bn, accounting for 1.95% of the global market. This decrease in market share will result from rapid expansion in emerging markets such as India and China; these countries will capture market share from the developed economies.

The main market driver stems from the consolidation of cooperatives; this will place national wholesalers in a better position to negotiate pricing with manufacturers. The principal restraints on the market stem are cuts to drug prices which will result in lower revenue for wholesalers. Additionally, the high risk of parallel trade of medicines purchased in Spain is encouraging manufacturers to limit the number of wholesalers they use.